Renter occupancy in South Chicago has slightly decreased from 60% in 2017 to 55% in 2022, mirroring the increase in homeownership. Average rent prices have remained relatively stable during this period, with some fluctuations. In 2017, the average rent was $942, and by 2022 it had decreased slightly to $872, representing a 7.4% decrease. This stability in rent prices, coupled with rising home values, may have contributed to the shift towards homeownership for some residents who saw the potential for building equity.

In 2023, average home prices in South Chicago decreased significantly to $147,359, an 8.2% drop from 2022. However, in 2024, prices began to stabilize, with a slight increase to $148,043. This recent trend coincides with a sharp increase in federal interest rates, which rose to 5.02% in 2023 and 5.33% in 2024. These higher interest rates may impact future homeownership trends in the neighborhood.

Applying predictive models to forecast 5-year trends, average home prices in South Chicago may continue to experience moderate growth, albeit at a slower pace than the rapid appreciation seen in the early 2020s. The high interest rate environment could potentially dampen demand and price growth in the short term. For rent prices, a gradual increase is expected over the next five years, as the rental market adjusts to economic conditions and housing demand in the area.

South Chicago has demonstrated resilience and growth in its housing market over the past decade. The neighborhood has seen a shift towards increased homeownership, significant appreciation in home values, and relatively stable rent prices. Recent economic factors, including rising interest rates, have begun to influence market dynamics, and will likely play a crucial role in shaping the neighborhood's housing landscape in the coming years.